Xos (XOS) Q4 2024 earnings summary

Executive summary

• Achieved record 2024 results with $56 million revenue, up 25% year-over-year, and 297 units delivered, with significant revenue growth, improved profitability, and operational execution.

• First full year of positive GAAP gross margin (7.1%) and non-GAAP gross margin (18%).

• Reduced operating expenses by $13.8 million (21.7%) compared to 2023 and implemented over $10 million in cost reductions in the past 12 months.

• Secured major commercial orders post-year-end, including 193 units for UPS and 20 Hub units for Caltrans.

• Achieved $3.3 million net cash from operating activities and first positive free cash flow in Q4.

Financial highlights

• 2024 revenue: $56 million (2023: $44.5 million); Q4 revenue: $11.5 million.

• 2024 net loss: $(50.2) million, improved from $(75.8) million in 2023; loss from operations: $(45.9) million, improved from $(65.0) million.

• 2024 non-GAAP gross profit: $10 million (2023: $(2.3) million); non-GAAP operating loss: $(32.1) million (2023: $(58.1) million).

• Q4 GAAP gross margin was a loss of $3.7 million (-32.4%) due to inventory write-offs; non-GAAP gross margin for Q4 was $2.7 million (23.2%).

• Cash and cash equivalents at year-end: $11 million; inventories: $36.6 million.

Outlook and guidance

• 2025 revenue guidance: $50.2 million–$65.8 million; unit deliveries: 320–420; non-GAAP operating loss: $17.2 million–$14 million.

• Expect continued positive non-GAAP gross margins and margin growth year-over-year.

• CapEx for 2025 expected to be minimal, focused on maintenance and incremental investments.